The Customer Access Account (CAA) Debit Card:
A World of Advantages
When it comes to purchasing, consumers are increasingly choosing plastic over paper. They appreciate the safety, convenience and control of debit, credit and stored value cards over cash and checks. It's logical that the insurance industry is joining the plastic revolution to manage and process claim payments.
Open Solutions' CAA Debit Card, a payment solution using a stored value card servicing your beneficiaries (death claims), policyholders (disability or structured settlements) or claimants (P&C) will:
- Generate interchange revenue with every cardholder transaction;
- Allow your company to generate float income from unpaid cardholder balances;
- Reduce the cost of producing, servicing, and replacing checks;
- Develop stronger policyholder relationships; and
- Leverage and differentiate your brand.
How it Works
CAA Debit Cards are host-based, prepaid stored value cards for the insurance industry—a revolutionary new payment system designed to support your marketplace. Closely resembling bank debit cards in use and function, stored value cards are used by cardholders to access claim payments credited to a transaction account. Stored value cards ensure fast, paperless dispersal of funds for many types of insurance claims (homeowner, automobile, death and other benefit payments) and repetitive payment programs (annuities, structured settlements, workers' compensation, and disability).
Claimants use the CAA Debit Card to purchase whatever is necessary to address their immediate needs. Instead of depositing or cashing a check that may take days to clear—and is inherently vulnerable to theft and misuse—the cardholder draws from the claim payment using the CAA Debit at ATM and point of sale locations until the full amount, or stored value, of the claim has been disbursed.
Open Solutions provides all the back-office processing and support for the card program, including:
- Cardholder set-up and account maintenance;
- Web and IVR card activation;
- Authorization services;
- Transaction processing;
- Replacement services;
- IVR & Call Center support; and
- Chargeback and retrieval services.
Our turnkey service is another way Open Solutions helps you develop stronger cardholder relationships.
Win-Win Situation
With Open Solutions' CAA Debit Card, your organization may begin earning income immediately. Each time one of your claimants uses a CAA Debit Card for a point of sale transaction, you receive a percentage of the amount (approximately one percent of qualified transactions) in interchange fees. The more cards you have in circulation, the more interchange revenue you stand to gain. In addition, you earn the interest spread from account balances maintained by claimants with your company. Funds leave your investment portfolio only as necessary to clear transactions made by cardholders. For your customers, the card is convenient, easy to use and flexible.
CAA Debit Cards will also help your organization:
- Contain costs by reducing paperwork and streamlining the settlement process;
- Diminish customer service calls about delayed or lost checks;
- Automate the payment process to free resources for other duties;
- Allow fast, paperless disbursement of payments for urgent, disaster-relief needs as well as routine payments for automobile and homeowner claims; and
- Establish a clear competitive difference from other insurers.
With Open Solutions, you can offer a checkbook in conjunction with the CAA Debit Card, satisfying the needs of every policyholder. Your company's logo is printed on both the card and checkbook.
Stake Your Claim
In today's marketplace, plastic is an acceptable, even preferred, purchasing medium. The CAA Debit Card helps you stake your claim in this marketplace by differentiating your company, your offering, and your commitment to service, while earning revenue with each qualified transaction your cardholders make.
*Customer Access Account (CAA) was previously named Retained Asset Account (RAA)
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